White House Lauds GM's Akerson in CEO Switch
WASHINGTON - The White House praised the decision of General Motors Co.'s board to name Daniel Akerson as the new chief executive, reported The Detroit News.
White House spokesman Robert Gibbs also praised the service of GM chairman and CEO Edward Whitacre Jr., who will turn over the reins to Akerson on Sept. 1 as CEO. Akerson will assume Whitacre's duties as chairman on Jan. 1.
"Our belief is that Dan Akerson is a proven and well-respected individual that will carry on what Ed and others have started in restructuring an auto company that not too long ago was on the brink of extinction," Gibbs told reporters. "They announced again yesterday a quarterly profit. They are on the upswing, as the other auto companies are, as well."
Gibbs said President Barack Obama will be briefed on the change in management. "We are grateful for, and I think the country should be grateful for, the service and the sacrifice of Ed Whitacre," Gibbs said.
Akerson, 61, who lives in McLean, Va., is a partner at Carlyle Group overseeing its investments in many companies and has been a CEO three times. He's also a Republican who donated to Sen. John McCain's campaign against Obama.
Gibbs said GM -- with its $50 billion bailout -- needed fundamental management changes. Akerson will be the fourth CEO in less than 18 months -- and the latest former telecom executive with no experience in autos.
"The money that we invested came with managerial changes that had to be enacted. I think Ed Whitacre and I think Dan Akerson understand that GM made a series of decisions that got them into a position, with the type of economic downturn that we've had, that, quite frankly, put the existence of the company in great danger," Gibbs said.
Gibbs said GM got a second chance on life.
"There's an understanding that (GM has) a second chance; that that investment required them to do some things differently, and they are, and now there's a much different story to tell in the auto world, that will only, quite frankly, get better as our economy gets stronger, and more people buy cars," he said.
More Industry

Auto Affordability Inches Up
The latest Cox Automotive and Moody’s Analytics index shows a slight increase in new-vehicle affordability despite high prices.
Read More →
Ohio Auto Group Under New Ownership
After 79 years with the Schluter family, Mansfield Auto Group has been acquired by Missouri-based Clement Auto Group.
Read More →
RV Group Expands Carolina Footprint
Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.
Read More →
Agent Acumen
An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.
Read More →
Missed Maintenance Creates Opportunity
As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Selling to Grow
The question of whether you should sell your agency and if so, when, is up to you. But it’s a question worth asking to ensure you keep the business on the right path for yourself, employees and clients.
Read More →
Recalled Vehicles Hit 5-Year High
Though the number of events has fallen so far this year, impacted units are up significantly. Meanwhile, regulators consider consumer notification changes.
Read More →
Auto Group Acquires Top-Performing Rooftop
Car Pros sold its Kia Huntington Beach location to Sutherlin Automotive Group, marking the buyer’s third location in Southern California.
Read More →
China as Pacesetter
Automotive leaders huddled on where North America stands in the global picture and how it can strengthen its position against the Asian juggernaut’s surging industry.
Read More →